COURSE SYLLABUS
ACC 602 Managerial Accounting
Thursday; 5:30 – 8:20 p.m.
Administrative ScienceBuilding; Room 222
Dr. Charles O. Kile
Accounting and Management Information Systems Area
Office: Room 375
Phone (256) 824-6582
Office Hours
Official office hours will be held after each class session (in Room 222 or Room 375) or by mutual arrangement at the student’s request.
Course Description This course is designed to provide a broad introduction to Managerial Accounting terms, techniques, and issues. A primary goal of the course is to provide students, managers, and future managers with an understanding and appreciation of the strengths and limitations of the accounting system for providing information for external financial reporting, decision making, third party contracting, and performance measurement for control.
The course provides a strong managerial emphasis. Accounting techniques are studied from the perspective of their influence on managerial behavior and their consequences for decision making, contracting, and control. Ideally, class participants should develop for themselves strategies that would lend to more efficient and effective use of an organization’s accounting system.
Required Course Materials
During the course, we will use Accounting for Decision Making and Control by Jerold Zimmerman, third edition, published by Irwin McGraw-Hill Publishing 2000 (ISBN 0-07-303937-3)
The instructor will also distribute supplemental class notes and assignments throughout the term.
BUS 602 COURSE SYLLABUS (cont.)
Grades Scale
A / 90+ / B / 80-89 / C / 70-79 / D / 60-69Additionally, some students may receive the following grades:
F – given when course work is unsatisfactory due to excessive absentees, missing or incomplete assignments, or a course grade below 60.
W – assigned to students who withdraw from the course after the first drop/add deadline.
I – temporarily assigned to students who have incomplete assignments for extenuating circumstances cleared through the University’s Office of Student Affairs
Grade Determination
Attendance10%
Group Case Presentation10%
Prepared Assignments10%
Mid-Term Examination35%
Final Examination35%
Class Participation
Class participation will be based on evidence of preparation and contribution to class learning through participation in class activities, in-class discussions and preparation of case analysis prior to class.
A list of chapter reading assignments appears on the course schedule. Case assignments from the textbook will be made at the conclusion of each class. Assignments are to be completed in writing because the instructor will occasionally collect them for verification at the beginning of the class session. Otherwise, assignments will be reviewed in class with student participation. Students are allowed to form groups of two or three to discuss and prepare assigned problems. However, dividing up and “swapping out” portions of assignments is not viewed as ethical behavior and does not provide much learning value.
Attendance will be taken whenever the instructor remembers to do so. Information from the instructor’s attendance records also forms a small portion of the basis for the attendance portion of the grade, since presence in the classroom is a necessary condition for participation.
Final Examination
Exams will be timed and administered inside the classroom. All in-class examination work is to be performed individually. Students will take the exams subject to the signed UAH honor code. Matters of examination integrity will be forwarded to the University’s Dean of Undergraduate Studies Office.
BUS 602 COURSE SYLLABUS (cont.)
Group Case Presentation
Students will form groups of two to prepare an analysis of an assignment. The analysis will be presented to the class during an assigned session. The purpose of the presentation is to allow students to apply knowledge and skills they have acquired during the course along with their own innovation and experience within a financial analyst’s framework. A software copy of the presentation slides will be submitted to the instructor along with any notes the group wishes to include.
Course Schedule
*All Assigned Readings unless otherwise noted are from the course textbook.
Session 1August 22
Topic: Introduction to Managerial Accounting & Cost Behavior
Classroom Presentation:Introduction to Managerial Accounting
In-Class Group Exercises:2-5, 2-6, 2-24
Assigned Readings for next session: Chapters 1 & 2,
Assigned Textbook Problems for next session: NONE
Session 2 August 29
Topic: Cost Information in Decision Making
Classroom Presentation:Identification of Costs Relevant to Decision Making
In-Class Group Exercises:The Beach Comber
2-4, 2-12, 2-17, 2-23, 2-39
Assigned Readings for next session: Chapter 3
Assigned Textbook Problems for next session: 2-37
Assigned Supplemental Problems for next session:School Closing Problem
Clean Bright
BUS 602 COURSE SYLLABUS (cont.)
Session 3 September 5
Topic: the Organizational Design of the Control System
Classroom Presentation:Organizational Design and Control Issues
In-Class Group Exercises:4-2, 4-7, 4-19, 4-20, 4-21, C4-1
Assigned Readings for next session:Chapter 4
Assigned Textbook Problems for next session: None
Session 4 September 12
Topic: Responsibility Accounting
Classroom Presentation:Performance Measurement for Responsibility Centers
Economic Value Added and Coca-Cola Inc.
In-Class Group Exercises:5-3, 5-6, 5-7, 5-14, 5-16
Assigned Readings for next session: Chapter 5 Sections A & B
Assigned Textbook Problems for next session: 5-17
Session 5 September 19
Topic: The Role of Budgeting in Control Systems
Classroom Presentation:Budgeting in Decision Management and Control
The Flexible Budget and Flexible Budget Variance
In-Class Group Exercises:6-4, 6-6, 6-7, 6-10, 6-11, 6-12, 6-15, 6-20
Assigned Readings for next session: Chapter 6
Assigned Textbook Problems for next session: 6-9
Session 6 September 26
Topic: Introduction to Cost Allocation
Classroom Presentation:What is Cost Allocation?
How to Allocate Cost
Allocating Joint Costs
In-Class Group Exercises:Keating & Associates
Clean White Dairy Products Inc
Assigned Readings for next session: Chapter 7, Chapter 8, Section C
Assigned Textbook Problems for next session: CASE 8-1
BUS 602 COURSE SYLLABUS (cont.)
Session 7 October 10
Topic: Issues Concerning Allocating Indirect Costs
Classroom Presentation:Cost Allocation in Control and Third Party Contracts
In-Class Group Exercises:UAH Paint Dept., Four Cola, MutualFundMailCenter
Assigned Readings for next session: Chapter 8 Section A
Assigned Textbook Problems for next session: 8-21
Session 8 October 17
Mid-term Examination
Session 9 October 24
Topic: Transfer Pricing
Classroom Presentation:
Setting Transfer Prices
Topic: Transfer Pricing Strategies
In-Class Group Exercises:Weed-X, 5-15
Assigned Readings for next session: Chapter 5 Sections C&D
Assigned Textbook Problems for next session: 5-21
Session 10 October 31
Topic: Methods of Allocating ServiceCenter Costs
Classroom Presentation: Approaches to Allocating ServiceCenter Costs
In-Class Group Exercises:8-10, 8-14
Assigned Readings for next session:Chapter 8 Sections B and Appendix, Zimmerman
Assigned Textbook Problems for next session: None
BUS 602 COURSE SYLLABUS (cont.)
Session 11 November 7
Topic: Cost Accounting in a Manufacturing Environment
Classroom Presentation:How to Determine Product Costs
In-Class Group Exercises:Manufacturing Cost Classification Exercise
Top Drawer
Zaff Radiator
McDonnel Douglas
Assigned Readings for next session: Chapter 9
Assigned Textbook Problems for next session: TBA
Assigned Supplemental Problems for next session:
Session 12 November 14
Topic: Issues in Full Absorption Costing
Classroom Presentation:The Incentive to Overproduce
In-Class Group Exercises:10-7
Assigned Readings for next session: Chapter 10
Assigned Textbook Problems for next session: TBA
Part II.
Topic: Activity Based Costing Systems
Classroom Presentation:Analysis of ABC and ABM
In-Class Group Exercises:Figure Four Inc
Tracy Corporation
Assigned Readings for next session: Chapter 11
Assigned Textbook Problems for next session: TBA
BUS 602 COURSE SYLLABUS (cont.)
Session 13 November 21
Topic: Standard Costing Systems
Classroom Presentation:Factor Input Variance Analysis
In-Class Group Exercises:Mason Company
Chester Company
Emory Inc.
Assigned Readings for next session: Chapter 13 Section C, Assigned Textbook Problems for next session: TBA
Session 14 December 5
Topic: Management Accounting in a Changing Environment
In-Class Group Exercises:TBA
Assigned Readings for next session:
Assigned Textbook Problems for next session:
Assigned Supplemental Problems for next session:
Session 15 December 12
Final Examination scheduled by the University Registrar’s Office as last class meeting.